Fate of 3 upcoming power plants hangs in the balance

Feb 3, 2012, 04.21AM ISTTNN[ Pranava K Chaudhary ]

PATNA: Bihar suffered a major setback in power sector with the stalling of the upcoming thermal power projects (2x660 MW) at Chausa (Buxar), Pirpainty (Bhagalpur) and Kajra (Lakhisarai) in absence of coal linkages.

Giving this information, Bihar Electricity Regulatory Commission (BERC) chairman U N Panjiar said with only Lanco Infratech responding for the Chausa power plant it was not advisable to open the lone competitive bidder for the plant.

The Bihar State Electricity Board (BSEB) has so far not been able to provide coal linkages for the Chausa plant. "We will float a fresh tender for Chausa power plant," Panjiar told TOI.

For the remaining two power plants at Pirpainty and Kajra, it was agreed upon that the bidder will have to arrange for coal linkages. Till date, no bidder has approached for the two plants mainly because of the lack of coal, an official said.

The fate of these three upcoming power plants are uncertain. Though the process of land acquisition for all the plants has already been cleared.

Bihar was to get 80 per cent of the gross installed capacity of these power plants for another 25 years.

With the cost of imported and indigenous coal increasing considerably in the recent years, the quality and price of coal has become a major concern for smooth running of coal-based thermal power plants in the state. Again, the high cost of both indigenous and imported coal has resulted in steep rise in the cost of power from coal-based generating plants.

The BSEB has paid Rs 1735 crore alone between December 2008 and June 2011 against fuel price advance to the NTPC on account of imported coal and hike in fuel price.